can u tell me the legal treatment that there is 2 director in private company and both have died in accident. who is able 2 regulate the company.
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Replies (5)
legal heirs.........
Company does not affected by the death of the directors. It remains go and go....
regards,
ratan
Agreeing with Ratan, As long as shareholders are their, the company will not die, its a seperate legal entity. The directors are just agents. If drectors died then will appoint new directors.
Regards
CS Jithesh
The Shareholders have the right to appoint the new Directors.
In case, the Directors were also the Shareholders then after their death the Shares pass on to their legal heirs or any person/s earlier appointed as Nominee by the Directors (while they were alive).
So the legal heirs have the right to appoint the new Directors (Also they can appoint themselves as Directors if they satisy the conditions mentioned in Companies Act, 1956) i.e. they should be major, should not be of unsound mind.
| Originally posted by : ganesh bhandari | ||
 |
The Shareholders have the right to appoint the new Directors. In case, the Directors were also the Shareholders then after their death the Shares pass on to their legal heirs or any person/s earlier appointed as Nominee by the Directors (while they were alive). So the legal heirs have the right to appoint the new Directors (Also they can appoint themselves as Directors if they satisy the conditions mentioned in Companies Act, 1956) i.e. they should be major, should not be of unsound mind. |
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absolutely right
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